NRI Papers
No.108 August 1, 2006
  Invisible and Co-Creative Financial Services in 2010  
Hiromichi MINAMI, Takeshi MURAKAMI, Daisuke YAMAZAKI,
      Structural changes in the retail finance market, the upturn in the economic environment, the ongoing development of IT (information technology) and system reforms all make the retail finance market a more attractive market. On the other hand, the large-scale changes are making it difficult to imagine what the situation will be like ten years from now. We can find clues to solving this problem by gaining a good understanding of the two directions that exist from the point of view of consumers.
      The first direction is the blending of financial services into everyday life situations ("invisible financial services"). As consumers become able to receive financial services through cellular phones and at retail outlets, financial services will become more convenient and readily available. As financial services become readily available, new needs will consequently be generated. In Europe, the retail industry is already successfully providing easy-to-understand financial products and services.
      The second direction is the co-creation of financial services by consumers and service providers together ("co-creative financial services"). In order to satisfy diversifying financial needs, it is important to have a process in which consumers communicate their own needs to the service provider and the provider understands consumers individually. Successful examples are seen in financial institutions that allow the participation of consumers in product development.
      In the 2010s, "invisible" and "co-creative" financial services that combine these two directions will gain a competitive advantage. The success factors for this new kind of financial services are a value chain that communicates customer needs, and customer participation-type marketing. The concentrated investment of management resources into these areas is a management challenge that should be tackled by enterprises regardless of whether they are members of the existing financial services industry or new entrants to the industry.
I Rapidly Changing Retail Finance--Two Directions
1 The Increasingly Attractive Retail Finance Market
2 A Decade of Surprises
3 Two Directions
II Financial Services That Blends into Everyday Life
1 Ubiquitization of Finance
2 Tiresome Financial Services Becoming "Invisible"
3 The Advantages of "Invisible Financial Services"
4 Easy-to-Understand and Easy-to-Buy Retail Finance in Europe
III Finance Co-Created with Consumers
1 An Era in Which Self-Help Efforts are Required
2 Responding to Diversifying Financial Needs
3 Mass Customization Utilizing IT
4 Asset Management Service Teams Integrated with Customers
IV Success Factors for "Invisible" and "Co-Creative" Financial Services
1 "Invisible" and "Co-Creative" Financial Services have a Competitive Advantage
2 Customers Need Communication-Type Value Chain
3 Customer Participation-Type Marketing
4 Competition toward the 2010s


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